Ethereum continues to rip through all time highs on a daily basis. And every week more bullish news is announced about Ethereum signaling that this train isn’t stopping any time soon. Now VanEck has announced that it applied for the first Ethereum ETF in the US.
According to an article from Coindesk.com, a U.S. company called VanEck has applied for an exchange-traded fund (ETF). This means that stock investors could invest into the Ethereum Fund and would not need to hold ETH directly.
However, this will likely not happen any time in the near future. Bitcoin has been undergoing a review by the SEC for their ETF also, and still there is no word when that will be approved. So, Ethereum will likely not by listed on U.S. stock exchanges for a long time. But in a recent video by Lark Davis, Lark said:
“This is the first Ethereum ETF application in the USA. The fact that this has been filed is a big deal indeed. This is a big deal because the United States accounts for more than 50% of all global stock evaluations.”
First Ethereum ETF in the US
Right now, Canada accounts for 2% of all global stock evaluations. One can only imagine how high Ethereum will moon if Ethereum gets an exchange-traded fund in the U.S. Lark said:
“In just seventeen days of an Ethereum ETF trading in Canada, they’ve managed to get about half a billion dollars invested already. So, with the U.S. stock markets being twenty five times bigger than Canada’s, we could have already seen twelve to thirteen billion dollars worth of Ethereum locked up for these financial products.”
Lark shared his opinion that he believes while the SEC is “dragging their feet”, we should at sometime in the future see both a Bitcoin and Ethereum ETF in the future.
Renowned investment strategist Raoul Pal tweeted yesterday that every investor he has spoken to shifting Bitcoin investments to Ethereum. Paul has communication with investors in very high-end circles, some being billionaires. Meaning, if people are investing these high amounts of cash into Ethereum, they must believe highly in the future of the company.
While the first quarter of 2021, quarter two has been full of incredible price action and bullish news. Fact of the matter is – Ethereum has a lot of potential for investors to be excited about. In the short term we should see more Ethereum 2.0 upgrades, the implementation of EIP1559, and also the shift of moving Ethereum of proof of work to proof of stake. When more big investors recognize the potential that will come from the new staking opportunities, likely they’ll be buying up large amounts.
This article is not financial advice. Please do your own research before buying cryptocurrencies.
Aaron is passionate about blockchain and has been an investor in cryptocurrencies for the past years. He enjoys engaging with other people in the cryptocurrency community online, particularly on Telegram, and learning from experts.